McCain pledges to buy up 300 bln in US home loans

[LogansPapa]

11 hours ago

NASHVILLE, Tennessee (AFP) — The US government would snap up 300 billion dollars of bad home loans, Republican John McCain vowed Tuesday unveiling a new plan to help struggling homeowners if he is elected president.

"People are no longer able to afford their mortgage payments," said McCain as he laid out what he billed as an original proposal for addressing the grassroots impact of the Wall Street credit crisis.

"As president of the United States, I would order the secretary of the treasury to immediately buy up the bad home loan mortgages in America and renegotiate at the new value of those homes, at the diminished value of those homes," he said.

Doing so would enable struggling homeowners to meet their mortgage payments and stay in their homes, he told the second of three presidential debates with Democratic rival Barack Obama.

"Is it expensive? Yes," he said. "But we all know, my friends, that until we stabilize home values in America, we're never going to start turning around and creating jobs and fixing our economy.

http://afp.google.com/article/ALeqM5iZlX-oPUxq61CtVONwtfxDUMRPDw

[Lager]

Very bad idea. Home prices will stabilize on their own. It won't help the people who bought more than they could handle however.

McCain flys by the seat of his pants. He talks conservative and then comes up with something like this.

[LogansPapa]

Mark my words - if his handlers don't come out before noon today and back-pedel this ship, McCain's champaign is over. End of story. Very Stupid. McBush. :mad:

[FeebMaster]

Very bad idea. Home prices will stabilize on their own. It won't help the people who bought more than they could handle however.

McCain flys by the seat of his pants. He talks conservative and then comes up with something like this.

He does? Where?

[Cold Warrior]

Very bad idea. Home prices will stabilize on their own. It won't help the people who bought more than they could handle however...

A revaluing of the worth of the so-called "bad home loans " will ripple throughout the economy as it will force all home prices down with a thud (houses sold to buyers who can't afford them are not the only ones that are "overpriced"). This will then not only affect those MBSs which are in peril because of defaults and foreclosures, it will cause the revalue (downward) of ALL MBSs. Every financial institution that holds MBSs will be affected, whether they minimized their risk originally or not.

[Rebel Yell]

I'm really getting to the point that I don't even give a fuck. It's time for conservatives to secede.

This is the gaping hole in the whole buyout argument.....

My wife and I don't make alot of money. We have a mortgage on our house, which is not an expensive house. It is what we can afford. We are very responsible and live pretty good on the amount of money we make. If I get into an accident and am not able to work, we would get behind on alot of bills. Down the road, I'm sure we'd get behind on our mortgage. If, God forbid, that were to happen, would the federal government come in and pay of our mortgage for us? Answer, HELL NO. The government is not there to help people who are responsible and fall on hard times or bad luck. They are there to take care of fucking deadbeats and free spenders. That's why I say fuck a buyout and fuck the people who would be out on the street. You shit the bed, you lay in it.:mad: